The depreciation method that does not use residual value in calculating the first year's depreciation expense is
A) straight-line
B) units-of-output
C) double-declining-balance
D) sum-of-the-digits

Question

Quizplus · Accepted Answer

The double-declining-balance method of depreciation does not consider the asset's residual value in calculating the first year's depreciation expense. Instead, it applies an accelerated rate to the asset's book value at the beginning of each period.

The Depreciation Method That Does Not Use Residual Value in Calculating